Back to top

Image: Bigstock

Kadant Acquires Clyde Industries & Boosts Product Portfolio

Read MoreHide Full Article

Key Takeaways

  • Kadant acquired Clyde Industries for $175M in cash, funded through its revolving credit facility.
  • Clyde adds $92M in annual revenues and 400 employees with operations across several countries.
  • The deal strengthens KAI's Industrial Processing unit, which saw a 16.5% revenue drop in Q2 2025.

Kadant Inc. (KAI - Free Report) recently announced that it has closed the buyout of Clyde Industries Holdings, Inc. and its affiliates for about $175 million in cash. Kadant funded the transaction through borrowings under its revolving credit facility.

KAI’s shares declined 2.4% yesterday to eventually close the trading session at $298.03.

Inside the Headlines

Based in Atlanta, GA, Clyde Industries is engaged in providing boiler efficiency solutions in the pulp and paper industries. The company employs around 400 people and has a strong international presence with operations across China, Brazil, Indonesia, Canada and Finland. It generated revenues of approximately $92 million for the fiscal year ended February 2025.

The addition of Clyde Industries’ solid product portfolio will enable KAI to boost its industrial processing offerings and strengthen its position across the pulp and paper, energy and general industries.

Kadant will integrate Clyde Industries into its Industrial Processing segment, which comprises the wood processing and fiber processing product lines. It is worth noting that the Industrial Processing segment’s revenues declined 16.5% year over year to $95.9 million in the second quarter of 2025.

Zacks Rank & Price Performance

Kadant, with a $3.5 billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company is likely to benefit from solid backlog levels, strong capital project activities and healthy demand for its aftermarket parts. 

Zacks Investment Research
Image Source: Zacks Investment Research

The company’s shares have lost 9.8% against the industry’s growth of 0.6% in the past three months.

The Zacks Consensus Estimate for KAI’s current-year earnings has been stable over the past 60 days. It has a trailing four-quarter average earnings surprise of 12.7%.

3 Promising Stocks

We have highlighted three better-ranked stocks from the same space, namely Crane Company (CR - Free Report) , Flowserve Corporation (FLS - Free Report) and Nordson Corporation (NDSN - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Crane delivered a trailing four-quarter average earnings surprise of 7.5%. In the past 60 days, the Zacks Consensus Estimate for CR’s 2025 earnings has increased 0.9%.

Flowserve delivered a trailing four-quarter average earnings surprise of 5.5%. In the past 60 days, the consensus estimate for FLS’ 2025 earnings has increased 0.9%.

Nordson delivered a trailing four-quarter average earnings surprise of 3.2%. In the past 60 days, the consensus estimate for NDSN’s fiscal 2025 earnings has increased 1%.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Flowserve Corporation (FLS) - free report >>

Nordson Corporation (NDSN) - free report >>

Kadant Inc (KAI) - free report >>

Crane Company (CR) - free report >>

Published in